By Johnathan Paoli
President Cyril Ramaphosa has authorised the Special Investigating Unit (SIU) to investigate multimillion-rand North West government tenders awarded to companies linked to controversial businessman Suliman Carrim, opening the way for possible recovery or forfeiture of assets if wrongdoing and losses to the state are established.
The investigation, authorised under Proclamation 348 of 2026, will focus on the procurement and contracting processes surrounding North West Transport Investment (NTI) and its subsidiaries, including an R168 million contract awarded by the North West Department of Community Safety and Transport Management to a joint venture between Carrim’s Transnat Coach Lines and Ziggy Investments.
The SIU has also been authorised to investigate the financial dealings and payments connected to the joint venture, including its relationship with the late taxi boss Jotham “Mswazi” Msibi, who died in January 2024.
ALSO READ: Missing runner Elizabeth Moselakgomo identified by family at Germiston mortuary
The proclamation gives investigators a broad mandate to determine whether improper conduct occurred in the awarding and administration of the contracts, whether individuals or entities received undue benefits and whether the conduct caused actual or potential financial losses to NTI or the state.
The SIU will examine the affairs of NTI, its wholly owned subsidiary North West Star and the Atteridgeville Bus Service.
Its investigation will include fuel supplied by Zentrafor Fuel, trading as FuelU, vehicle rental services and commuter bus services provided under agreements involving NTI.
It will also investigate the receipt, processing, approval and payment of claims submitted by Carrim-linked entities and the Ziggy Investments-Transnat Coach Lines joint venture, and whether those processes complied with applicable legislation and National Treasury or provincial Treasury guidelines.
The proclamation further directs the SIU to examine the conduct of the business rescue practitioner appointed to NTI in July 2022, as well as the actions of agents and NTI employees.
This includes investigating whether the business rescue process involved unlawful or improper conduct intended to benefit individuals or entities, and whether such conduct contributed to serious maladministration or losses suffered by NTI or the state.
Speaking on Facebook, North West provincial legislature portfolio committee chairperson on community safety and transport management Freddy Sonakile welcomed the proclamation, saying it gave the SIU the statutory authority needed to follow the evidence and pursue recovery measures where losses were established.
“Following years of turmoil at NTI, President Cyril Ramaphosa has officially authorised the SIU to investigate. The resistance, pushback and attacks did not stop the work. The Committee hearings, referrals, evidence and documentation have borne fruit. Accountability is coming to NTI. No stone must be left unturned,” Sonakile said.
He said the committee will continue to monitor the progress of the SIU investigation, as well as matters that have already been referred to the Hawks, and that the ultimate objective was to protect NTI workers, restore reliable services to commuters and ensure the state-owned transport entity could be rebuilt into a sustainable operation.
The SIU investigation could shed further light on evidence heard by the Madlanga Commission of Inquiry concerning the business relationship between Carrim’s companies and Msibi.
Evidence before the commission indicated that the joint venture involving Transnat Coach Lines and Ziggy Investments had business dealings with Msibi relating to subsidised bus transport opportunities in Gauteng and North West.
ALSO READ: Mothibi: NPA must control its own budget to fight crime effectively
WhatsApp messages allegedly showed Msibi pursuing opportunities in the transport sector and forwarding details of the joint venture to Makhosini Msibi, CEO of the Road Traffic Management Corporation.
The commission also heard evidence of payments linked to Msibi, including a R700,000 payment from Transnat Coach Lines to taxi federation Santaco, with a further R300,000 allegedly outstanding.
The SIU probe adds to mounting scrutiny of Carrim, who is facing criminal charges after repeatedly failing to appear before the commission.
The commission had sought his evidence about alleged links to Vusimusi “Cat” Matlala and questioned him about payments allegedly exceeding R2 million to a company linked to Matlala.
NTI entered voluntary business rescue in July 2022 after experiencing financial difficulties, with Thomas Samons appointed as business rescue practitioner.
Samons was later removed following a North Gauteng High Court ruling after the North West government challenged his handling of the process.
The court case highlighted severe financial deterioration at the state-owned transport group.
A judgment recorded that NTI’s debt had risen from about R356 million before the business rescue to around R1 billion during the process.
More than 1,500 employees also went without salaries during several periods between September 2022 and March 2024, while medical aid, PAYE and UIF obligations were also affected.
Mahomed Mahier Tayob has since been appointed as the new business rescue practitioner, with the provincial government saying NTI can still be rescued and restored as a viable public transport entity.
INSIDE POLITICS
